However, we are told that YouTube is NOT buying the company to get into the content creation business, but to help its partners create better content. This help, ideally, will also generate more ad revenue for the producers and for YouTube. (More here about how Google is NOT directly getting into the content business.)

The idea is to help partners create deeper, more professional content that can draw repeat, longer-term viewers, instead of just the "dog on skateboard" stuff, music videos, and pirated TV clips that represent a lot of YouTube traffic today.

Google is basically buying the staff of Next New Networks, and the company sees them as a cast of skilled online video consultants. There isn't really any technology being acquired, just people.

Google also announced a new program called "YouTube Next" that will give video producers grants and training, the New York Times reports.

YouTube did not announce the deal's terms. (We're told that it's less than $50 million.) Next New Networks had raised $26 million.